Marriott Vacations (VAC) will raise its quarterly dividend by 12.5 percent to $0.45 per share in the fourth quarter of 2018. The vacation ownership company initiated a dividend in 2014.

The increased dividend is payable on January 3, 2019 to shareholders of record as of December 20, 2018.

A new annualized dividend rate of $1.80 per share yields 2.5% at a stock price of $72.60.

Additionally, the company's board of directors has authorized the repurchase of an additional 3 million shares of its common stock. Taking into account the additional 530,000 shares repurchased since the amount announced in our earnings release on November 7, 2018, the total share authorization remaining is approximately 3.4 million shares. The duration of the share repurchase program also has been extended through the end of 2019.

Marriott Vacations Worldwide Corporation is a global vacation ownership company that offers vacation ownership, exchange, rental and resort and property management, along with related businesses, products and services. It also includes exchange networks and membership programs, as well as management of other resorts and lodging properties. Its seven vacation ownership brands include Marriott Vacation Club, The Ritz-Carlton Destination Club and Grand Residences by Marriott. The company maintains exclusive, long-term relationships with Marriott International and Hyatt Hotels Corporation for the development, sales and marketing of vacation ownership products and services. Marriott Vacations has been publicly traded since November 2011, entering the industry in 1984 as part of Marriott International, Inc. (MAR). The Company operates through three segments North America, Europe and Asia Pacific.